Silver’s bullishness at the moment is less ambiguous than gold’s. Specifically, a ‘mechanical’ buy that I recommended last week at 26.98 has yet to be stopped out after producing gains reported by numerous subscribers. Officially the position was closed out after I exited it myself with a profit and a note in the chat room. As far as I can tell, no one still holds any contracts. If the futures were to fall to the stop-loss and continue down to the green line (x=25.281), that would trigger a second ‘mechanical’ buy that would be moderately enticing. We’ll have to wait and see whether bulls can hang tough this week against a possible onslaught of FAANG-mania, but if they do, look for a push to the 30.385 target for starters. Alternatively, a bearish resolution could be expected to push the futures down to 22.755 (60-min, a= 29.440 on 8/10 at 7:00 p.m. ET). ______ UPDATE (Aug 25, 6:58 p.m.): Although silver got socked pretty hard for a few hours two weeks ago, bears have struggled ever since to finish the job. A week of trying has not pushed the September futures down to p=25.863, and if this doesn’t happen by week’s end bulls will be in good position to seize the upper hand Sunday night. Alternatively, a decisive breach of the midpoint pivot would put p2=24.209 in play, or even 22.755 (noted above) as a maximum downside target. ______ UPDATE (Aug 26, 9:35 p.m.): The legitimacy of the impulse leg in this pattern may be subtle, but it’s good enough to raise the odds for winning ‘mechanical’ setups enroute to D=31.075. This task can be crowd-sourced since chat room interest in Silver has been high. Use p=28.585 as a minimum upside target for now. ______ UPDATE (Aug 27, 10:15 p.m.): Today’s fevered histrionics changed nothing in the big picture. A decisive push above 27.505 would put a 28.445 target in play. Here’s the chart. The target is roughly coincident with p=28.585 of the larger pattern referenced above, so there will be double resistance in the quoted range. For the December contract, the big-pattern D=28.925, and it is tied to p=27.588. The smaller pattern now looks like a good bet to hit D=28.590.
SIU20 – Sep Silver (Last:27.270)